USA to collect 25% duties on $16B Chinese imports starting August 23

On Tuesday, the Trump administration said it would begin collecting previously announced 25% tariffs on an additional $16bn of Chinese goods from 23 August.

The move had been widely expected but with China lining up retaliatory measures it reinforced the worry that the two sides are heading for an all-out trade war that could hammer the global economy.

Washington has already imposed tariffs on $34 billion in Chinese products, but it initially held off on the final $16 billion as a result of concerns raised by USA companies.

"We have made the case to the Administration, in the strongest possible terms, that tariffs imposed on semiconductors imported from China will hurt America's chipmakers, not China's, and will do nothing to stop China's problematic and discriminatory trade practices", he said.

It has not yet given a date for its previously announced retaliatory tariffs on $16 billion in USA goods, which will target commodities such as crude oil, natural gas, coal and some refined oil products.

Explaining the decision, the USTR cited an "exhaustive" investigation that found China using joint venture requirements, investment restrictions and licensing procedures to pressure U.S. companies into technology transfers.

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Americans import far more from China than the other way around, however, meaning Beijing may at some point need to look for other means of retaliation.

The dispute has continued to escalate, as Trump last week threatened to jack up the tariff rate on the next $200 billion in Chinese imports his administration plans to target to 25%, from the planned 10%.

USTR said there were 279 new goods to be targeted in the latest round of tariffs.

The new tariffs will be applied to a list of 279 products, including motorcycles, speedometers and antennas, in the second round of tariffs applied by the USA on Chinese goods, despite persistent warnings by American businesses that the tariffs will affect U.S. consumers.

The growth rate was the strongest in almost four years, and Trump said it was further proof his economic policies were working.

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